FAR 16.207-2 — Application

Regulatory text. Not legal advice.

A firm-fixed-price, level-of-effort term contract is suitable for investigation or study in a specific research and development area. The product of the contract is usually a report showing the results achieved through application of the required level of effort. However, payment is based on the effort expended rather than on the results achieved.


Source: eCFR • Pulled 2026-04-16